A newly released Q2 report is supporting the well-believed notion that beef producers, feeders and packers are paid very different amounts. As the demand for U.S. beef continues to trend high, prices have continued to disappoint in the fed slaughter sector. Analysts cited a variety of issues for the significant imbalances within the marketplace — a few examples include weather slowdowns, the JBS plant shutdowns, labor shortages as well as COVID safety protocols which limit productivity. This perfect storm of issues has continued to leverage market prices in to benefit mostly the beef packers. Projections for Q3 and Q4 indicate fed cattle supplies will likely be in short supply due to drought conditions. See more insights from the report.